A new war will start.I really wonder what will happen once the Ukraine war ends.
No - you would have to setup an equal of the Bahamian Company locally which would be a RAKICC with British Common Law Regulations means Court Jurisdiction in DIFC. Next to Dubai Freezone Companies only RAKICC can hold Property within Dubai.@Fred is it possible to buy an apartment in Dubai with a foreign company? E.g. you get a company registered in Bahamas buying a property (or an entire development) in Dubai.
You mean the materials used are of a low quality or you're a messyI lived in Marina Gate and I can confirm that quality is terrible.
It's just couple years old and already looks like 15 years old.
Already worn down. Everything inside very low quality
It is possible but the price you'll pay for it will be much higher.Wonder if it isn't possible to get high quality property there which don't look like what you say within a few years.
AgreeCurrently Dubai properties have crazy high prices because all the russian money is there. In general I think that it always depend on what you buy and at what price you buy it: I've been in Dubai for 3 years and I would still not be able to decide where to buy a property. It's true that there is oversupply, but it's also true that the more popular districts ( Marina / Palm / Downtown ) are now almost fully built. This means that while supply in other parts of the city will increase, supply in those district will not, which means that it's probably the safest place where to invest.
Do not agree. If you go trough licensed well known and licensed broker chances you'll experience issues when buying a property are very, very small.Dubai has possibly the highest scamming rate in the world, so you should never ever trust a word of what you are said.
You can buy it as an investment. No issues there. And currently you can expect decent rental returns.In general I would not advise you to buy a property unless you have some side interests in Dubai: if you live 3 months in your property and then rent it short term, it might be a good investment, if it's just for investing, it's probably not the safest real estate investment.
Ok, I mostly heard horror stories, and to be clear it's europeans fucking europeans. I know of a guy who paid 20k EUR on top of a property to get the Visa, which is free...in any case happy to hear that there is someone honestDo not agree. If you go trough licensed well known and licensed broker chances you'll experience issues when buying a property are very, very small.
They have made many changes to ensure that there are less possible ways to scam buyers (as that's bad for their reputation).
Also, there are many worst and less regulated places even in Europe where you could get scammed easily.
Yeah agree that there is no safe investment, what I wrote was simply my opinion, I am not even buying a property in Dubai right now with me iving ther 2-3 months because the market is really high. What worries me is the impact of the Saudis project, as NEOM will be a direct competitor to Dubai, and what happens if in 5 or 10 years the russian money fades away. But as you say there is no safe investment, although I would rather buy a property in Ibiza or in Munich or in Milan at 8-12k/m2 because, as long as you are buying the correct house and not overpaying, I think it's safer: The center of Milan/Munich will not get bigger, and Ibiza has very strict rules on housing. But as you said it all depends on what you buy, you can get scammed / fucked in any placeYou can buy it as an investment. No issues there. And currently you can expect decent rental returns.
Just make sure you do your DD first: why are you buying it, at what price, in what area, who are you going to rent it out, what's the cost of it being empty (service charges), at what price do you plan on selling it in 5,10,15 years, etc.
There is no such thing as a safe investment. Buying a property right now in Munich at €8-€12k/m2 may be riskier than buying it in Dubai for €2.5k/m2.
So, they got their property but paid 20k EUR for service they could access online for free.Ok, I mostly heard horror stories, and to be clear it's europeans f*****g europeans. I know of a guy who paid 20k EUR on top of a property to get the Visa, which is free...in any case happy to hear that there is someone honest
Sure. It makes no sense to buy a property in Dubai to live there for 3 months as there are many rentals or long-stay hotels one can use.Yeah agree that there is no safe investment, what I wrote was simply my opinion, I am not even buying a property in Dubai right now with me iving ther 2-3 months because the market is really high. What worries me is the impact of the Saudis project, as NEOM will be a direct competitor to Dubai, and what happens if in 5 or 10 years the russian money fades away. But as you say there is no safe investment, although I would rather buy a property in Ibiza or in Munich or in Milan at 8-12k/m2 because, as long as you are buying the correct house and not overpaying, I think it's safer: The center of Milan/Munich will not get bigger, and Ibiza has very strict rules on housing. But as you said it all depends on what you buy, you can get scammed / fucked in any place
Service fees and maintenance will eat your rental income, in some places it's crazy - like 30-50% of rentals go towards service fees. Price depreciation is real - in 10 years you might get 30-40% of rental income but the price may drop by 10-20%. When accounting to taxes (4% when buying + agency fees) you might get the income comparable with what you get in the UK or some EU countries.Simply put even if you overpaid a property a bit in Dubai you could reclaim that money in a couple of years renting it while that won't be the case in for example Munich.
Stamp duty in UK to buy a property ranges from 3% to 15%. Non UK residents pay +2% on top of the rate. In UAE it's 4% fixed. So I see no point there.Service fees and maintenance will eat your rental income, in some places it's crazy - like 30-50% of rentals go towards service fees. Price depreciation is real - in 10 years you might get 30-40% of rental income but the price may drop by 10-20%. When accounting to taxes (4% when buying + agency fees) you might get the income comparable with what you get in the UK or some EU countries.
Absolutely not worth it for all the circus you have to go through.Anyways, my net rental income is currently 8.5% per year for my property.
Let's say I average 6.5% in the first 10 years (rental prices go down, my apartment is empty for couple moths here and there) - that's 65% paid off in 10 years.
The 10 to 20% price drop wouldn't worry me much TBH as I'll be 45% in profit after selling it.
And I would pay 0% tax on that (0% capital gains and no stamp duty as buyer pays the 4% when buying) and would keep all that money.
Inheritance tax that can go up to 40% (if the property owner leaves this world before selling it)
Well as usual it all depends on how you buy the property and how you reinvest. I'll make an example with a friend of mine who 22 years ago started working in London as a civil engineer coming from a poor family: he started renting a room and putting money away until he was able to buy a house paying 20% of it with a mortagage he could pay. a 2bdr inside zone 2 of London. He rented one room and started saving again until he was able to buy another house similar to the first with the money he had away + the fact that he was able to leverage the increase in value of his house. Buy / rent / repeat and now he has 4 houses in London and 1 house in Milan. All this without ever making insane amount of money from his job, 5k pound a month max. He makes a lot more than that with rents.The only point of buying real estate in Dubai or even London as an "investment" is that you can park your (questionable) assets offshore outside the banking sector (without CRS/AML/KYC checks).
For personal use, of course, anyone can buy what they want as "consumption", but it's a mystery to me who would bother with so much effort for such returns.
An interest rate of 4-5% on the dollar is currently considered a risk-free interest rate
Then rather invest in good REITS with leverage.
You mean to tell me that rising interest rates devalue a currency? Erdogan TheoryI don't think so that current 4-5% interest rate will remain for long (1-2 years max) and the longer it stays that high the more it will devalue dollar (due the inflation).
Correct, 22 years ago. In the current environment, the same story could also end in disaster.I'll make an example with a friend of mine who 22 years ago started working in London as a civil engineer coming from a poor family: he started renting a room and putting money away until he was able to buy a house paying 20% of it with a mortagage he could pay.
Well it's kind of hard that it ends in disaster, if you think about it. The first house is the house where you live in. The second house might be the riskiest, but the worst it can probably happen is that you have to sell it. Sure, if you lose your job it's an issue, nothing is risk free. What I wanted to point out is that if you know the market, buy the correct houses, use leverage in the correct way, have a bit of luck AND work a lot ( renting two houses becomes a job on top of your day job ) you can arrive at 45 not needing to work anymore. It's not the only way and it's not guaranteed to happen, let's say it's a slow and steady way.Correct, 22 years ago. In the current environment, the same story could also end in disaster.
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